No.
They should be treated like scammers and sleazoids are over on the Neo-Geo forums.
Lock their profile, give them a custom rank/title of "Scammer", lock their signature to describe their scams, give them a scamming type of avatar, and lock them out of every section of the forum except for the RamControls.com feedback section.
Keep it that way for Dave/Adam/etc, Jim/Dan/etc, Errol, and the whole lot of them until everyone is reimbursed.
When they go to jail you can update their custom rank/title to "Convicted Scammer"
If they wish to turn over all inventory to a trusted 3rd party (please count me out, I don't want to drive 1/2 way across teh country to do this) then they could be titled "Scammer trying to make amends" until such time as all the inventory is sold. If everyone is paid back then call them "Reformed Scammer" and if not and they still owe people their title will be "Scammer who didn't make full amends"
RJ